Global Net Lease to Acquire Modiv Industrial in $535M All-Stock Deal

Global Net Lease, Inc. has agreed to acquire Modiv Industrial, Inc. in an all-stock transaction valued at approximately $535 million, advancing its strategy to pivot toward industrial assets and away from office exposure.

The merger will add a portfolio of mission-critical industrial properties across the U.S., enhancing Global Net Lease’s lease profile and extending duration. Modiv’s assets carry a weighted average lease term of roughly 15 years with annual rent escalations of about 2.4%, while approximately 45% of base rent is derived from investment-grade tenants.

Under the terms of the agreement, Modiv shareholders will receive 1.975 shares of Global Net Lease common stock for each share held, implying a value of approximately $18.82 per share and representing a 17% premium to recent trading levels. Following the transaction, Global Net Lease shareholders are expected to own approximately 89% of the combined entity.

The company said the deal is expected to be immediately accretive to adjusted funds from operations per share by about 4% and structured to remain leverage-neutral. Global Net Lease plans to repay Modiv’s existing debt and preferred equity using its revolving credit facility and cash on hand, while targeting approximately $6 million in annual cost synergies.

“We believe this transaction is a compelling opportunity for GNL to expedite our transition to earnings growth in 2026… while continuing to reduce our office exposure,” said Michael Weil.

The transaction is expected to close in the third quarter of 2026.

BMO Capital Markets is acting as sole financial advisor to GNL and Paul, Weiss, Rifkind, Wharton & Garrison LLP and Greenberg Traurig, LLP are serving as legal counsel to GNL.

Truist Securities is acting as sole financial advisor to Modiv and Morrison & Foerster LLP and Venable LLP are serving as legal counsel to Modiv.